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By almost all measures, American
workers overall have gained economic
ground over time. However, it has also
been well documented that inequality
in economic outcomes has increased:
Wages for those in the bottom (10th
percentile) of the income distribution
have not growth as quickly as those in
the top (90th percentile). In fact, the
wages for those at the bottom may even
be stagnating. These trends imply that
the economic mobility of some segments
of the labor force is relatively limited.
How can the economic opportunities
for low-wage workers be improved? How effective are existing policies at
helping low-wage workers gain more
skills or improve them? The author provides a brief review of key
issues related to low-wage earners and
policy prescriptions.